Costs remain top of the mind for this demographic, according to a new survey
Seventy-five per cent of urban Canadian Generation Z adults said that they are likely to buy and own a primary residence in their lifetime, with 49% indicating that they are “very likely” to do so, according to polling by Sotheby’s and the Mustel Group.
Of this demographic, an estimated 11% already own their homes, Sotheby’s said.
For Gen-Zers, the most significant financial barriers to ownership are saving for down payments and covering for living expenses, Sotheby’s said. These factors are driving anxiety for 82% of those who have not yet purchased their first homes, and are worried that they will not be able to do so in their desired locales.
“It is clear from our research that while rising housing affordability challenges are top-of-mind for Canada’s Generation Z homebuyers, the desire and demand for home ownership and specifically, single family home ownership, has not subsided from previous generations,” said Don Kottick, president and CEO of Sotheby’s International Realty Canada. “The older segment of this generation is now on the brink of first-time homeownership, and are poised to be both an influential consumer force in the Canadian housing market and a prominent voice in defining housing needs in our communities.”
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By property type, single-family homes are the most desirable for Gen-Zers (70%), with condos (13%) and attached homes (11%) trailing far behind in terms of preference.
However, 50% of respondents said that they have already given up on their dreams of owning single-family homes, with 34% bowing out due to high costs. Canadian Gen-Zers said that their “most likely and realistic” first homes are condos (25%), attached homes/townhouses (18%), and duplexes (7%).
